Tex. Gov't Code Section 2262.004
Required Nepotism Disclosure


In this section:


“Major stockholder” means a person who directly or indirectly owns or controls more than a 10 percent interest or a pecuniary interest with a value exceeding $25,000 in a business entity.


“Purchasing personnel” means an employee of a state agency who makes decisions on behalf of the state agency or recommendations regarding:


contract terms or conditions on a major contract;


who is to be awarded a major contract;


preparation of a solicitation for a major contract; or


evaluation of a bid or proposal.


Before a state agency may award a major contract for the purchase of goods or services to a business entity, each of the state agency’s purchasing personnel working on the contract must disclose in writing to the administrative head of the state agency any relationship the purchasing personnel is aware about that the employee has with an employee, a partner, a major stockholder, a paid consultant with a contract with the business entity the value of which exceeds $25,000, or other owner of the business entity that is within a degree described by Section 573.002 (Degrees of Relationship).


The state auditor shall develop a form for use in reporting a relationship under Subsection (b).


Notwithstanding Section 2262.001 (Definitions) or 2262.002 (Exemptions), this section applies to:


an institution of higher education as defined by Section 61.003 (Definitions), Education Code; and


contracts of the Texas Department of Transportation that relate to highway construction or highway engineering.
Added by Acts 2005, 79th Leg., Ch. 649 (H.B. 2932), Sec. 1, eff. September 1, 2005.

Source: Section 2262.004 — Required Nepotism Disclosure, https://statutes.­capitol.­texas.­gov/Docs/GV/htm/GV.­2262.­htm#2262.­004 (accessed Nov. 25, 2023).

Nov. 25, 2023

§ 2262.004’s source at texas​.gov